…so central banks would probably have to absorb funds with issues of certificates of deposit or Treasury bills.

“The central bank in Saudi was active when the bonuses for public sector workers were paid earlier this year. You saw fairly aggressive issuance of Treasury bills in order to mop up liquidity in the banking sector,” Gamble said.

Qatar’s central bank has been issuing T-bills with maturities ranging from three to nine months to drain excess liquidity from the banking sector.